AI Governance: Why Every Company Regardless of Size or Usage, Needs a Policy

Whether you’re a startup or a global enterprise, you need an AI policy. It’s not about slowing down innovation — it’s about protecting enterprise value, compliance, and trust.

63% of breached organizations either don’t have an AI governance policy or are still developing one. Even when policies exist, fewer than half have approval processes for AI deployments — and 61% lack supporting governance technologies. (IBM’s 2024 Cost of a Data Breach report) 

This isn’t just a technology issue — it’s a business risk. Boards, executives, and employees are all caught in the same dilemma: how do we balance AI innovation, employee curiosity, business strategy, and security? 

Why Every Company Needs an AI Policy

AI is reshaping the landscape.  If organizations are not considering implementing an AI policy, they may already be behind.

🔹 78% of companies use AI in at least one function 

🔹 63% lack formal AI governance policies 

🔹 <50% have structured approval for AI deployments 

🔹 61% lack technologies to support oversight 

🔹 66% of employees use AI without verifying accuracy 

🔹 300M jobs may be displaced, 170M created 

🔹 92% of companies plan to invest in generative AI by 2028 

🔹 378M global AI users, 64M added this year alone

Minimum Rules Every Company Should Follow

·      Set an AI Acceptable Use Policy.

·      Require approval before AI tools are deployed.

·      Ban sharing sensitive data with public AI tools.

·      Educate employees on safe AI use.

·      Monitor AI use and include it in incident response plans.

The Balancing Act

At the recent AXIOS AI + DC conference, Katie Harbath’s (Anchor Change) advice was to “panic responsibly”. She went on to encourage organizations to not wait for their teams to use AI incorrectly and teach them to use it correctly. Ignoring this reality only increases the risk of unmonitored use. A simple, practical policy creates transparency, accountability, and protection for the business.  Cyber knowledge Partners will work with your Company to create a policy.  Contact us for a consultation on how we can help.

AI governance should not be seen as a barrier to innovation — but as its enabler. With the right balance of policies, oversight, and security measures, organizations can unlock AI’s value while protecting enterprise trust, compliance, and shareholder confidence.

Bottom line: Every company — large or small — should have an AI policy. The risks of not having one are far greater than the effort required to put guardrails in place.